This action transmittal provides guidance on determining eligible immigrant status when a lawful permanent resident requests to be credited with quarters of coverage that were earned by someone who was illegally in this country at the time the quarters were earned.

As Temporary Cash Assistance (TCA) caseloads continue to decline, local departments are beginning to see more hard to serve individuals with barriers such as substance abuse. While substance abuse screening and treatment remain a requirement for receipt of cash assistance, the individual who participates in a treatment program may require assistance in arranging and paying for the care of their children. Current Purchase of Care (POC) regulations require participation in an approved work activity to meet eligibility. Local departments may consider participation in a substance abuse treatment program as an approved work activity and may offer POC to TCA individuals who are enrolled and actively participating in a substance abuse treatment program.

This information memo is in response to questions from local departments about jointly owned vehicles. Action Transmittal #96-17 issued November 9, 1995, provided policy about determining if a resource is inaccessible. As stated in the Action Transmittal, that policy does not apply to vehicles. Although a licensed vehicle cannot be considered an inaccessible resource, there are certain situations in which we can consider a vehicle as unavailable to the customer. Following are questions and answers to clarify treatment of unavailable licensed vehicles.

Since the implementation of HealthChoice in June 1997, the HealthChoice enrollment broker and the Managed Care Organizations (MCOs) have reported a significantly higher number of incorrect addresses than is recorded on the MMIS II. In many cases this is due to Temporary Cash Assistance (TCA) and Medical Assistance (MA) customers not promptly and consistently updating their address with the Local Department of Social Services (LDSS). Since the address has little impact on MA eligibility unless the recipient moves out of state, and TCA payments are paid through electronic banking, there is little incentive for the customer to make reporting a change in address a priority unless they also receive Food Stamps. This means the LDSS does not always have the customer's most current address. As a result, the Department of Health and Mental Hygiene (DHMH), the HealthChoice enrollment broker, and the MCOs are unnecessarily expending additional resources because of returned mail. More importantly, customers with incorrect addresses are being auto-assisgned to MCOs without the opportunity to voluntarily enroll. This creates access and service delivery problems for the customers as well as the MCOs. In addition to the many problems created by auto-assignment, incorrect addresses prevent customers from receiving their redetermination packets, which can result in case closure. DHMH has developed a system to provide updated information they receive from various sources to the LDSS to be confirmed and entered into CARES and thereby into MMIS II.

This Information Memo clarifies the treatment of pension plans as resources for the Food Stamp Program. Generally, the cash value of pension plans is excluded from consideration as a resource. However, there are two exceptions to this policy.

Before the passage of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA), all legal immigrants lawfully admitted into the United States met the citizenship requirement for technical eligibility in all of our programs. The PRWORA does not offer automatic technical eligilibility stateus to legal immigrants.

Effective November 1, 1998 many noncitizens will become eligible for food stamps. (See Action Transmittal #99-10). Several governmental agencies, including DHR, have developed strategies to reach the population that will become eligible because of the change in the law. This Information Memo is to inform local departments about several planned initiatives.

Work requirements under the Personal Responsibility and Work Opportunity Act of 1996 (PRWORA) were outlined in FIA/OPI Action Transmittal (AT) #97-67 dated December 24, 1996. The AT included the actions related to the federal work requirements to be taken by the Local Departments of Social Services (LDSS). Temporary Cash Assistance (TCA) time limits are delineated in AT #97-61 dated November 24, 1996.

On July 1, 1998, the Maryland Children's Health Program (MCHP) became effective. The new program provides health insurance coverage for children under the age of 19 and pregnant women of any age with family income below 200% of the Federal Poverty Level. Children who were enrolled in the Maryland Kids Count program were converted to MCHP on June 30, 1998.

The purpose of this circular letter is to provide policy to clarify which entity is responsible for determination of non-cooperation with child support requirements for Temporary Cash Assistance (TCA) and Medical Assistance (MA) applicants or recipients. The policy provides guidance to assist in that determination.

Each October, the United States Department of Agriculture publishes a new Thrifty Food Plan (TFP) on which food stamp program allotments are based. Effective October 1, 1998, the net and gross monthly income standards will increase. The maximum food stamp allotments and excess shelter deduction will also increase. The standard deduction and homeless shelter allowance are unchanged.

On June 23, 1998 President Clinton signed Public Law 105-185, the Agricultural Research, Extension, and Education Reform Act of 1998 (AREERA). This legislation amends the Personal Responsibility and Work Opportunity Reconciliaiton Act of 1996 and changes the eligibility rules for certain immigrants. Children, elderly and disabled immigrants who were lawfully present in the United States on August 22, 1996 will be eligible for federal food stamps. Members of the Hmong and Highland Laotian tribes and cross-border Native Americans will also be eligible. Refugees, asylees, immigrants whose deportation has been withheld, Cuban and Haitian entrants and Amerasians lawfully admitted for permanent residence will have their period of eligibility extended. These changes are effective November 1, 1998. We are providing this policy in advance so case managers can inform customers of this anticipated change.

The Office of Policy Research and Systems (OPRS) provides clarification to policy and procedures questions from local departments statewide on a daily basis. When providing that clarification, the caller is usually referred to a specific Action Transmittal (AT) that outlines the policy or procedure in question. Sometimes the caller does not have the AT that has been issued regarding that topic.

The Department of Human Resouces implemented the State Verification Exchange System (SVES) statewide effective August 22, 1997. SVES is an automated IBM data exchange system with the Social Security Administration (SSA) for verifying social security numbers (SSNs), Title II Social Security (OASDI) benefits, Title XVI Supplement Security Income (SSI) benefits, and Quarters of Coverage History System (QCHS). This Action Transmittal is an addition to #98-34.

The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 imposed a 60-month lifetime limit (with some exceptions) on the use of TANF funds to provide cash assistance to eligible adults. States have the option to shorten this time limit. Maryland has selected the 60-month time limit, but some states, including Delaware and Virginia have chosen shorter limits. We have adopted a new residency requirement to make TCA receipt subject to the time limit of the prior state for those who have lived here less than 12 months.

The Maryland Energy Assistance Program (MEAP) begins taking applications for its program year on November 2, 1998. MEAP will continue to take applications for heating assistance through March 31, 1999.

FIA has eliminated more than 60 forms since June of 1997. Several factors contributed to this reduction. The CARES system captures much of the information that was addressed via FIA forms. We were able to eliminate most AIMS forms when CARES implementation was completed. The Welfare Innovations Act of 1997 gave us the flexibility to focus on customer independence needs and eliminate unnecessary paper work. Although many discontinued forms were addressed in prior action transmittals, we developed an obsolete forms report to ensure that local offices have the most current information.

The Personal Responsibility and Work Opportunities Reconciliation Act of 1996 (PRWORA) requires parents receiving assistance through Temporary Assistance for Needy Families (TANF) to participate in a work activity at least 20 hours a week in federal fiscal years (FFY) 1997 and 1998 and 25 hours a week in FFY1999 in order to count toward the federal work participation rate. PRWORA also requires parents receiving assistance through TANF to be engaged in a state defined work activity by the 24th month of assistance. If appropriate child care is available, there are no exceptions to the 24-month work requirement. Some TCA customers will reach this time limit on January 1, 1999.

Action Transmittal #99-05 outlined the expectations of local departments for their Temporary Cash Assistance (TCA) customers reaching the 24-month time limit on and after January 1, 1999. Customers who have received 24 cumulative months of federal Temporary Assistance to Needy Families (TANF) funded TCA must be in a state-defined work activity.

Each year FIA provides local offices with an updated schedule of CARES benefits availability and cut-off dates. Attached to this Action Transmittal are the 1999 CARES benefit availability schedules for Temporary Cash Assistance and Food Stamps. We have aslo attached the 1999 CARES cut-off dates.

The utility allowances were last increased in October 1994. Periodically we reassess the amount of the utility standards based on the Consumer Price Index for fuel. This transmittal provides information about increases in the standard and limited utility allowances.

Historically, Social Security Retirement, Survivors and Disability Insurance (RSDI) and Supplemental Security Income (SSI) benefits have increased each year. This is usually true for Railroad Retirement and Veterans Benefits too. The mass change process to take these changes into account for grant, food stamp and medical assistance purposes is described in this transmittal.

In developing the Family Investment Program (FIP) every effort was made to make food stamp policy match through waivers approved by the Food and Nutrition Service (FNS). Local departments were notified of the termination of many of these waivers in Action Transmittals 99-04 and 99-11. Although we submitted a request to continue our waiver for using a 50 percent deduction for self-employment income in lieu of the cost-to-produce and 20 percent earned income deduction, our requesst was denied. We worked with FNS to come up with a policy that would maintain program simplicity and match, as much as possible, treatment of Temporary Cash Assistance self-employment income.

In 1990, states were granted waivers to disregard the earnings from short-term, temporary employment with the 1990 Census Bureau. The waivers allowed recipients of cash assistance, food stamps and medical assistance who were employed by the Census not to report either their employment or their income to their case managers. There will be no federal waivers for this Census.

Substance abuse reports show that local Family Investment staff now send concent forms (DHR/FIA #1176) to Managed Care Organizations (MCOs) on TCA adults and minor parents at application. The reports also show that staff send screening referrals (DHR/FIA #1177) on TCA customers who are screened positive at assessment or who request referrals for treatment. FIA commends you for these efforts and encourages you to continue.

Maryland's Quality Control error rate exceeded the national average for the Federal Fiscal year 1997. The federal government will impose monetary penalties against the State unless the error rate is reduced in Federal Fiscal year 1999. We must increase the payment accuracy of our cases and make a commitment to error free work. A four-month certification period for certain error prone cases in one error reduction strategy we plan to use. This strategy is one that will have an immediate impact on the error rate. Local departments will be monitored to ensure that four-month certificaitons are assigned to these error prone cases.

The Immigration and Naturalization Service has revised the name of the I-551 (Green Card) from “Alien Registration Receipt Card” to ‘Permanent Resident Card.” The INS has also issued a new version of the I-551 called the Permanent Resident Card. Please see the attached copy of an information release about the new card.

On or about February 6, 1999, the CARESNO MIS interface will become operational. This interface will replace the current interface between these two systems that has been in place since 1992. The new interface will be implemented through a series of actions, beginning with the registration in WO MIS of all TCA adult customers (18 years or older), and those who are younger than 18 years but are the designated heads of household. The second action to be taken will be the de-registration fkom WO MIS (i.e., the insertion of a De- registration Date and Status code) of all current registrants who are no longer receiving TCA. Finally, the third action will be the initiation of a daily download of information from CARES to WOMIS.

This Action Transmittal (AT) obsoletes AT #97-25 Revised, #97-31 and #98-07 (sanction procedures), and clarifies the policy and procedures surrounding conciliation and sanction for non-compliance with work, substance abuse and child support requirements, and sanction for Intentional Program Violation (IPV). This AT also provides new policy regarding the number of conciliation processes to which a TCA household is entitled.

Three Food Stamp letters, all related to overpayments, have been added to the LETTER SUBMENU, option “F” off of the CARES MAIN MENU. These letters are: - 00114 Disqualification Consent Agreement (FS72) - 00115 Notice to Disqualified Individual (FS 93) - 00116 Waiver of the fight to Administrative Disqualification Hearing (FS 112) The appropriate codes have been added to the valid values for the “letter type” field. Also, letter 0026, Repayment of Food Stamps, (FS 66) has been revised to advise customers that administrative error overpayment BEGS are now subject to involuntary recoupment.

The Familly Investment Administration (FIA) has been working with the U.S. Department of Health and Human Services to change the Temporary Assistance to Needy Families (TANF) State Plan to better serve certain groups of Temporary Cash Assistance (TCA) customers.

As part of the AFDC restructuring Action Transmittal # 92-42, local departments were notified that effective January 1, 1993 customers who live in public housing (projects), Section 8 housing, or FMHA Section 515 rental assistance had $45 of the rent subsidy they received counted as unearned income for AFDC. The change was made to reduce some of the disparity between customers who live in federally subsidized housing and customers who must pay market rate rent amounts.

As part of the AFDC restructuring Action Transmittal #92-42, local departments were notified that effective January 1, 1993 customers who live in public housing (projects), Section 8 housing, or FMHA Section 515 rental assistance had $45 of the rent subsidy they received counted as unearned income for AFDC. The change was made to reduce some of the disparity between customers who live in federally subsidized housing and customers who must pay market rate rent amounts.

As part of our continuing effort to provide supportive services, the Policy and Training Bureau developed an action transmittal and information memo index. We included all active action transmittals and information memos issued since the inception of the Family Investment Program. They are listed alphabetically by subject matter with multiple listings for transmittals and memos that cover more than one policy area or would be commonly recognized under other titles. We hope it serves as a usefid tool for locating policy information.

The Family Investment Administration in conjunction with the Baltimore City Community College is conducting a two-year pilot program designed to evaluate the importance of education as a means to financial independence. Temporary Cash Assistance customers who meet the criteria listed below have their educational activities counted as a work activity.

Effective October 1, 1998 we went back to a 4-week month conversion factor for calculating monthly income and deductions for the Food Stamp Program (FSP). This matches Temporary Cash Assistance (TCA). Action transmittal 99-11 issued September 23, 1998 provided the policy and CARES procedures to local departments. Recently, the Food and Nutrition Service denied a waiver that would have allowed us to continue to calculate food stamp earned income, other than weekly and biweekly income, using the TCA conversion method.

The Food and Nutrition Service informed us of new rights and responsibility language about reporting and verifying deductions that we could insert on the application as an error reduction strategy. This action transmittal provides information about this new language. We are also reminding local departments about a verification option.

In an effort to assist LDSS offices, FIA central staff is reconciling SSI cases. Based on information derived from SDX files as of 2/28/99, assistance units where the SSI recipient is deceased or no longer receives an SSI payment are part of the reconciliation effort.

Reverse mortgages allow certain homeowners to borrow against the equity value of their home to help meet their living expenses. Under these programs, the household receives monthly payments from the lender for a set period of time. The loan holder, in turn, will hold a lien on the property until repayment is made by the homeowner or his estate.

Recently, the Food and Nutrition Service informed us that the Armed Services began phasing in a new housing allowance on January 1 , 1998 called the Basic Allowance for Housing (BAH). The BAH is one monthly payment, replacing separately paid Variable Housing Allowance (VHA) and Basic Allowance for Quarters (BAQ). The BAH is based on civilian rental costs by pay grade, dependency status, and location.

The Family Investment Administration issued a revised State Verificaiton Exchange System (SVES) Manual with Action Transmittal 99-13 (Amended). Page 59 of the SVES Manual provides a Quarters of Coverage Chart used to determine whether certain aliens met eligibility requirements under the forty quarters provision of current immigrant policy. The attached updated chart reflects the amount of earnings needed to qualify for quarters of coverage in 1999. The amount for 1999 is $740.

The dramatic changes in welfare laws and policies, and the challenges and opportunities they continue to present, require that Maryland's efforts to ensure that as many children and families as possible retain or obtain health care coverage, continue. to achieve this result, we need to ensure that the policies and procedures in place are carried out efficiently and that we find new ways to reach children and families.

Action Transmittal #99-32 notified local departments of the five customer groups moved into state-funded Temporary Cash Assistance (TCA) programs. The groups included families with immigrants not eligible for federal TCA, 19-year old school children, victims of family violence, non-parent caretaker relatives included in the assistance unit, and adults and/or children disabled for 12 or more months.

Action Transmittal (AT) FIA/OPRS #99-46 provided a Guide to policy and procedures for the state-funded TCA program for disabled TCA customers who are referred to the Disability Entitlement Advocacy Program (DEAP/TCA). Page 10 of the Guide listed the forms used for the DEAP/TCA program. The nine attachments (copies of the forms) were inadvertently omitted from the Guide. This AT provides those attachments.

Effective immediately, local departments are to stop applying the following three durational residency requirements: 1. Families moving from another state with a shorter welfare time limit than Maryland's 60-month limit for Temporary Cash Assistance (TCA) are subject to the shorter time limit for the first 12 months of Maryland residency. 2. Families moving from a state with lower TCA benefit levels than Maryland's are subject to that lower lever for the first 12 months of Maryland residency. 3. Immigrants moving from a state with no federal or state-funded cash assistance or state-funded food stamps for immigrants are not eligible for Maryland's programs for immigrants for the first 12 months of Maryland residency.

Action Transmittal FIA/OPA #97-90 notified local departments of a two tiered earned income disregard for Temporary Cash Assistance (TCA) beginning July 1, 1997, as required by a provision of the Welfare Innovation Act of 1997. An initial 20 percent income test is conducted to determine an applicant's eligibility for TCA benefits. Employed applicants who pass the initial 20% income test are allowed a 26% income disregard.

School employees who are paid an hourly wage are not paid during the summer months when school is not in session. Salaried school employees have the option of having their yearly income paid over a period of 12 or 10 months. For food stamps, hourly wage earning are calculated as paid. Salaried school employees who receive food stamps have their earnings annualized regardless of whether they choose to be paid 10 or 12 months of the year.

This action transmittal outlines and clarifies Child Care Administration policy and procedures for the pay period required to determine eligibility. The changes contained within are designed to align the Purchase of Child Care policy and procedures in this area with those in the Family Investment Program by reducing the currently required six weeks to four weeks.

Attached is a booklet entitled Guidance for Verification of Immigration Status. This booklet replaces the one sent in limited quantities to local departments in June 1998. As before, this guidance includes detailed information about verifying the status of immigrants, but has limited program policy information. Please refer to the appropriate policy manual or Action Transmittal for questions about policy.

Food Stamp regulations require that local departments use the data in the Disqualified Recipient Sub-system (DRS) to assess and implement disqualification penalties for Intentional Food Stamp Program Violations (IPV). This system must be used to ascertain that the appropriate penalty is imposed based on past disqualifications and to determine the eligibility of applicants prior to certification if the local department has reason to believe that a household member was disqualified in another jurisdiction. Before adverse action (increased penalty length or denial of benefits) can be taken against an individual based on information obtained from DRS, all such records must be first verified by the State that submitted the record(s).

Control #: 99-54
Subject: Able-Bodied Adults Without Dependents-A New Way Of Tracking And A New Waiver County
Issue Date: 7/6/1999
Effective Date: 7/1/1999
Program(s) Affected: Food Stamp Program
Link to Document: http://www.law.umaryland.edu/marshall/dhr/9954.pdf

Each year Maryland requests an exemption from the special work requirements for able-bodied adult without dependents (ABAWD) in jurisdiction that have a high unemployment rate or insufficient jobs. This transmittal includes information about an additional jurisdiction, Wicomico County, that the Food and Nutrition Service (FNS) exempted from the ABAWD provisions.